-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Hzqj0b8aV4tHnP6BPZ+Sjr1ljVZ3RI9LnosXdV/I45fqVGptVK1OJEieH6+VVhSE CbCR+9EqRWIqsS4fwoZ8LQ== 0001157523-03-003754.txt : 20030807 0001157523-03-003754.hdr.sgml : 20030807 20030807084530 ACCESSION NUMBER: 0001157523-03-003754 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030807 ITEM INFORMATION: ITEM INFORMATION: Financial statements and exhibits ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20030807 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AMERICAN RETIREMENT CORP CENTRAL INDEX KEY: 0000787784 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-SKILLED NURSING CARE FACILITIES [8051] IRS NUMBER: 621674303 STATE OF INCORPORATION: TN FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-13031 FILM NUMBER: 03827669 BUSINESS ADDRESS: STREET 1: 111 WESTWOOD PLACE STREET 2: SUITE 202 CITY: BRENTWOOD STATE: TN ZIP: 37027 BUSINESS PHONE: 6152212250 8-K 1 a4450470.txt AMERICAN RETIREMENT CORP 8-K SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): August 7, 2003 (August 7, 2003) AMERICAN RETIREMENT CORPORATION (Exact name of registrant as specified in its charter) Tennessee 01-13031 62-1674303 (State of Incorporation) (Commission File No.) (IRS Employer Identification No.) 111 Westwood Place, Suite 200 Brentwood, Tennessee 37027 (Address of Principal Executive Office) (Zip code) Registrant's telephone number, including area code: (615) 221-2250 Item 7. Financial Statements, Pro Forma Financial Information and Exhibits. The following exhibit is furnished pursuant to Items 9 and 12: 99.1 Supplemental Information. Item 9. Regulation FD Disclosure. Supplemental information relating to American Retirement Corporation's second quarter 2003 results is attached hereto as Exhibit 99.1. Item 12. Results of Operations and Financial Condition. Supplemental information relating to American Retirement Corporation's second quarter 2003 results is attached hereto as Exhibit 99.1. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. AMERICAN RETIREMENT CORPORATION Date: August 6, 2003 By: /s/ Bryan D. Richardson -------------------------------- Name: Bryan D. Richardson Title: Executive Vice President and Chief Financial Officer EXHIBIT INDEX No. Exhibit --- ------- 99.1 Supplemental Information EX-99 3 a4450470_ex991.txt AMERICAN RETIREMENT CORP EXHIBIT 99.1 Exhibit 99.1 AMERICAN RETIREMENT CORPORATION AND SUBSIDIARIES SUPPLEMENTAL INFORMATION REVENUE - SECOND QUARTER 2003 (in thousands, except %)
Three months ended June 30, Three months ended June 30, --------------------------- ----------------------------- 2003 % 2002 % ----------- -------------- ----------- ---------------- COMPOSITION - ------------------------------------ Revenues: Retirement Centers Independent living $31,379 34.6% $29,965 36.6% Assisted living 10,696 11.8% 10,026 12.3% Skilled Nursing 15,181 16.8% 14,245 17.4% Therapy Revenue 4,704 5.2% 3,329 4.1% Ancillary Services 4,548 5.0% 4,728 5.8% Net Entry Fee Revenue 2,144 2.4% 1,847 2.3% ----------- -------------- ----------- -------------- 68,652 75.8% 64,140 78.4% Freestanding Assisted Living 19,378 21.4% 15,812 19.3% ----------- -------------- ----------- -------------- Total Resident and Healthcare Revenue 88,030 97.1% 79,952 97.7% Management Services 1,314 1.4% 620 0.8% Reimbursed Expenses 1,280 1.4% 1,236 1.5% ----------- -------------- ----------- -------------- 2,594 2.9% 1,856 2.3% ----------- -------------- ----------- -------------- Total Revenues $90,624 100.0% $81,808 100.0% BY SOURCE - ------------------------------------ Private Pay $79,996 88.3% $73,236 89.6% Medicare 8,985 9.9% 7,240 8.8% Medicaid 1,643 1.8% 1,332 1.6% ----------- -------------- ----------- -------------- Total $90,624 100.0% $81,808 100.0%
1 AMERICAN RETIREMENT CORPORATION AND SUBSIDIARIES SUPPLEMENTAL INFORMATION SAME COMMUNITY RESULTS - SECOND QUARTER 2003 ($'s in thousands)
INCLUDING ENTRY FEE COMMUNITIES: - ------------------------------------- Three months ended June 30, ------------------------------ $ % 2003 2002 Change Change ------------- --------------- ---------- ---------- Resident & Healthcare revenue $86,412 $78,457 $7,955 10.1% Community operating expense 59,754 56,888 2,866 5.0% ------------- --------------- ---------- ---------- Community operating contribution $26,658 $21,569 5,089 23.6% Community operating margin 30.8% 27.5% # Locations 53 53 Avg. Occupancy 91% 88% Avg. Occupied Units 9,272 8,955 $317 3.5% Avg. Mo. Revenue/unit 3,107 2,920 186 6.4% EXCLUDING ENTRY FEE COMMUNITIES: - ------------------------------------- Three months ended June 30, ------------------------------ $ % 2003 2002 Change Change ------------- --------------- ---------- ---------- Resident & Healthcare revenue $66,165 60,075 $6,090 10.1% Community operating expense 44,942 43,266 1,676 3.9% ------------- --------------- ---------- ---------- Community operating contribution $21,223 $16,809 4,414 26.3% Community operating margin 32.1% 28.0% # Locations 48 48 Avg. Occupancy 91% 87% Avg. Occupied Units 7,207 6,942 $265 3.8% Avg. Mo. Revenue/unit 3,060 2,885 176 6.1%
* This table sets forth certain selected financial and operating data on a Same Community basis. "Same Community basis" refers to communities that were owned and/or leased by the company throughout each of the periods being compared. Three communities that are currently being held for sale and as discontinued operations and one community with an expansion opening in May 2003 have been excluded. 2 AMERICAN RETIREMENT CORPORATION AND SUBSIDIARIES SUPPLEMENTAL INFORMATION ENTRY FEE COMMUNITIES - SECOND QUARTER 2003 ($'s in thousands) Owned Freedom & Leased Square Total ------------- ---------- ----------- Entry Fee Units: Total Units 1,704 362 2,066 Occupancy 92.0% 96.1% 92.7% Available Units 137 14 151 Resale Cash Flow Summary: # of Sales 55 18 73 Gross Sales $8,365 $1,896 $10,261 Net Sales after Refunds 5,163 1,413 6,576 Entry Fee Unit Valuation: * Available Units $23,089 $1,603 $24,692 Total Unit Value 287,435 41,460 328,895 * The EF Unit Valuation is based on current sale prices of the units. The Total Unit Value includes all units both sold and unsold within each community. 3 AMERICAN RETIREMENT CORPORATION AND SUBSIDIARIES SUPPLEMENTAL INFORMATION FREE-STANDING ASSISTED LIVING COMMUNITIES - SECOND QUARTER 2003 ($'s in thousands)
Q1 02 Q2 02 Q3 02 Q4 02 Q1 03 Q2 03 ---------- --------- ------------ ----------- --------- --------- Resident and healthcare revenue $14,757 $15,812 $17,378 $18,191 $18,771 $19,378 Community operating expense 14,133 14,626 15,394 15,689 15,773 15,593 ---------- --------- ------------ ----------- --------- --------- Community operating contribution 624 1,186 1,984 2,502 2,998 3,785 Ending Occupancy 1,817 1,968 2,112 2,129 2,135 2,145 Ending Occupancy % 69.5% 75.3% 80.7% 81.4% 81.6% 81.8% Average Monthly Occupancy 1,733 1,853 2,027 2,116 2,124 2,132 Monthly Revenue per unit 2,838 2,844 2,858 2,866 2,946 3,030
NOTE: Excludes two non-consolidated joint ventures and three communities held for sale and as discontinued operations. All periods have been reclassed to conform to this presentation. 4 AMERICAN RETIREMENT CORPORATION AND SUBSIDIARIES SUPPLEMENTAL INFORMATION OTHER STATISTICS - SECOND QUARTER 2003 UNIT CAPACITY BY COMMUNITY TYPE - ----------------------------------- Locations Capacity ---------- ---------- Rental Retirement Centers: Owned-100% 7 1,693 Leased 14 3,877 Managed with purchase rights 2 533 Managed - other 1 324 ---------- ---------- 24 6,427 Entry Fee Retirement Centers: Owned-100% 4 1,720 Leased 1 554 Managed-Freedom Square 1 735 Managed-other 2 506 ---------- ---------- 8 3,515 Freestanding AL's: Owned-100% 9 871 Owned-Joint Venture 3 256 Leased 21 1,876 ---------- ---------- 33 3,003 All Communities: Owned-100% 20 4,284 Owned-Joint Venture 3 256 Leased 36 6,307 Managed with purchase rights 2 533 Managed-Freedom Square 1 735 Managed-other 3 830 ---------- ---------- 65 12,945 Note: Leased communities include both operating and capital leases. Two of the three Owned-Joint Ventures are managed and are not consolidated. -----END PRIVACY-ENHANCED MESSAGE-----